Take an Incremental Approach to Automation Installation, Investment

Warehouse automation. The term calls to mind expensive, complex, high-speed, highly mechanized equipment operating in the dark, with nary a human in sight. Yet—if reading this blog achieves nothing else—let your takeaway be that there are actually four levels of automation (generally speaking), and that only a handful of facilities in the U.S. house installations of that highest level. The rest have invested in a more affordable degree of automation that delivers process improvements in key areas to enhance productivity.

Automating your warehouse breaks down into the following four levels of increasing sophistication and investment:

The key to determining the right level of automation for the typical conventional warehouse is to apply it to those processes that are not adding value.

For example, picking. The typical associate spends just 40% of his or her time picking items to fill orders; the other 60% is spent walking to, between and from picks. Associates picking from paper lists are not only less efficient, they’re also more error prone and likely not paying attention to inventory management rules—such as first-in/first-out (FIFO) stock rotation to prevent items from expiring before distribution. Adding automation at the lowest level of complexity and cost (such as a WMS to optimize picking paths and ensure that the oldest products are picked first) can bring tremendous value and cost savings to a facility at a modest investment.

Further, each subsequent level of automation should build upon the previous step. That’s why it’s important to work with a supplier or systems integrator who can plan a solution that grows incrementally with your operations. The ideal automation installation should be both flexible and scalable, ensuring that each step into the next level further enhances your existing equipment and processes (and prevents a previously-installed technology from being scrapped).